Interim report
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1 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 <Japanese GAAP> February 6, 2025 Company Name: GLORY LTD. Stock exchange listing: Tokyo Code number: 6457 URL: https://corporate.glory-global.com/ Representative: Akihiro Harada President & Representative Director Contact person: Yukihiro Fujikawa Executive Officer; Executive General Manager, Finance Headquarters TEL +81-79-297-3131 Scheduled date of dividend payments: — Preparation of quarterly earnings supplementary explanatory material: Yes Holding of quarterly earnings presentation: Yes (for analysts and institutional investors) (Amounts less than one million yen are rounded downward.) 1. Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (from April 1, 2024 to December 31, 2024) (1) Consolidated Operating Results (cumulative) (The percentages show the changes from the corresponding period of the previous year.) Net sales Operating income Ordinary income Net income attributable to owners of parent (Millions of yen) (%) (Millions of yen) (%) (Millions of yen) (%) (Millions of yen) (%) Nine months ended December 31, 2024 280,033 7.8 29,343 (17.0) 22,460 (33.4) 12,577 (39.8) Nine months ended December 31, 2023 259,706 45.5 35,335 － 33,749 － 20,906 － (Note) Comprehensive income Nine months ended December 31, 2024: ¥15,925 million [ (45.2)%] Nine months ended December 31, 2023: ¥29,083 million [ 688.6%] Net income per share Fully diluted net income per share (Yen) (Yen) Nine months ended December 31, 2024 225.49 — Nine months ended December 31, 2023 375.96 — (Reference) EBITDA (Operating income + Depreciation + Amortization of goodwill) Nine months ended December 31, 2024: ¥47,126 million [ (6.7)%] Nine months ended December 31, 2023: ¥50,521 million [ 308.5%] Net income before amortization of goodwill (Net income attributable to owners of parent + Amortization of goodwill) Nine months ended December 31, 2024: ¥19,055 million [ (27.3)%] Nine months ended December 31, 2023: ¥26,204 million [ — %] This is a translation of the original Japanese text of the “Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025.” Should there be any discrepancy between any part of this translation and the original Japanese text, the latter shall prevail.
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2 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) (2) Consolidated Financial Position Total assets Equity Ownership equity ratio Equity per share (Millions of yen) (Millions of yen) (%) (Yen) As of December 31, 2024 450,533 236,995 52.4 4,229.53 As of March 31, 2024 469,179 228,651 48.5 4,095.61 (Reference) Ownership equity As of December 31, 2024: ¥236,112 million As of March 31, 2024: ¥227,780 million (Note) During the third quarter of the fiscal year ended December 31, 2024, the Company finalized the provisional accounting treatment for business combinations, and the figures as of March 31, 2024 reflect the details of the finalization of the provisional accounting treatment. 2. Dividends Dividends per share (Record date) First quarter-end Second quarter-end Third quarter-end Year-end Annual (Yen) (Yen) (Yen) (Yen) (Yen) Year ended March 31, 2024 — 40.00 — 66.00 106.00 Year ending March 31, 2025 — 54.00 — Year ending March 31, 2025 (forecast) 54.00 108.00 (Note) Revisions to the latest dividend forecast: None 3. Consolidated Financial Forecast for the Year Ending March 31, 2025 (from April 1, 2024 to March 31, 2025) (The percentages show the changes from the corresponding period of the previous year.) Net sales Operating income Ordinary income Net income attributable to owners of parent Net income per share (Millions of yen) (%) (Millions of yen) (%) (Millions of yen) (%) (Millions of yen) (%) (Yen) Full year 370,000 (0.7) 32,000 (37.4) 24,500 (49.2) 13,500 (54.4) 242.03 (Note) Revisions to the latest consolidated financial forecast: Yes (Reference) EBITDA Year ending March 31, 2025 (full year): ¥55,800 million Operating income before amortization of goodwill Year ending March 31, 2025 (full year): ¥40,800 million Net income before amortization of goodwill Year ending March 31, 2025 (full year): ¥22,300 million
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3 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) Notes: (1) Significant changes in the scope of consolidation during the period: Yes Newly included: 1 company (Showcase Gig Inc.) Excluded: 8 companies (GLORY AZ System Co., Ltd., GLORY Mechatronics Ltd., Revolution Retail Systems, LLC and other 2 companies, and Acrelec Holding Middle East Ltd and other 2 companies) (Note) For details, please refer to “2. Quarterly Consolidated Financial Statements and Significant Notes Thereto, (3) Notes to Quarterly Consolidated Financial Statements, Significant Changes in the Scope of Consolidation During the Period” on page 11 of the Attachment. (2) Application of accounting methods specific to preparation of the quarterly consolidated financial statements: Yes (3) Changes in accounting policies and estimates, and restatements (a) Changes in accounting policies associated with revisions of accounting standards, etc.: Yes (b) Changes in accounting policies other than (a): None (c) Changes in accounting estimates: None (d) Restatements: None (Note) For details, please refer to “2. Quarterly Consolidated Financial Statements and Significant Notes Thereto, (3) Notes to Quarterly Consolidated Financial Statements, Notes Regarding Changes in Accounting Policies” on page 11 of the Attachment. (4) Total number of shares issued (common shares) (a) Total number of shares issued at the end of the period (including treasury shares) As of December 31, 2024: 58,938,210 shares As of March 31, 2024: 58,938,210 shares (b) Number of treasury shares at the end of the period As of December 31, 2024: 1,141,458 shares As of March 31, 2024: 2,873,306 shares (c) Average number of shares (cumulative from the beginning of the period) Nine months ended December 31, 2024: 55,778,678 shares Nine months ended December 31, 2023: 55,608,425 shares (Note) In addition to the number of treasury shares at the end of the period, there also existed Company shares owned by the “Board Incentive Plan (BIP) Trust Account” and “Employee Stock Ownership Plan (ESOP) Trust Account.” (As of December 31, 2024: 1,972,018 shares, As of March 31, 2024: 449,012 shares) (Note) Review of the Japanese-language originals of the attached quarterly consolidated financial statements by certified public accountants or an audit firm: None (Note) Explanation regarding the appropriate use of financial forecasts and other special items (Caution concerning forward-looking statements) The forward-looking statements such as operational forecasts contained in this report are based on the information currently available to the Company and certain assumptions which the Company regards as legitimate, and are not promises regarding the achievement of forecasts. Actual performance may differ greatly from these forecasts due to various present and future factors. For the assumptions and other related matters concerning the financial forecasts, please refer to “1. Overview of Operating Results, (3) Consolidated Financial Forecasts and Other Forward-looking Statements” on page 6 of the Attachment.
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4 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) Attachment Contents 1. Overview of Operating Results .............................................................................................................................................. 5 (1) Overview of Operating Results for the Period ............................................................................................................................................... 5 (2) Overview of Financial Position for the Period ............................................................................................................................................... 6 (3) Consolidated Financial Forecasts and Other Forward-looking Statements .................................................................................................... 6 2. Quarterly Consolidated Financial Statements and Significant Notes Thereto ................................................................... 7 (1) Quarterly Consolidated Balance Sheet ........................................................................................................................................................... 7 (2) Quarterly Consolidated Statements of Income and Comprehensive Income .................................................................................................. 9 Quarterly Consolidated Statement of Income................................................................................................................................................. 9 Quarterly Consolidated Statement of Comprehensive Income ..................................................................................................................... 10 (3) Notes to Quarterly Consolidated Financial Statements ................................................................................................................................ 11 Significant Changes in the Scope of Consolidation During the Period ........................................................................................................ 11 Notes Regarding Changes in Accounting Policies ....................................................................................................................................... 11 Notes Regarding Accounting Methods Specific to Preparation of the Quarterly Consolidated Financial Statements ................................. 11 Notes Regarding Segment Information ........................................................................................................................................................ 13 Notes for Significant Change in the Amount of Shareholders’ Equity ......................................................................................................... 13 Notes Regarding Assumption of a Going Concern ...................................................................................................................................... 13 Notes Regarding Quarterly Consolidated Statement of Cash Flows ............................................................................................................ 13
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5 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) 1. Overview of Operating Results (1) Overview of Operating Results for the Period In the nine months ended December 31, 2024, the global economy was on a recovery trend despite concerns about the effects of unstable global situation and high interest rate levels continuing in the U.S. and Europe. In Japan, there were signs of recovery in capital investment and personal consumption supported by improvements in corporate earnings and the employment rates despite the weak yen and high prices. In the business environment surrounding the Group, demand for the self-service products remained steady as measures to improve labor- saving and operational efficiency improvements due to soaring labor costs and workforce shortages in Japan and overseas. In addition, the hardware replacements and system modifications associated with the new banknote issuance have been almost completed in Japan. In overseas markets, sales of main products and maintenance services increased in the financial institutions, supported by steady demand for products and services. In the retail industry, sales increased due to steady demand for products and services that enhance labor-saving and operational efficiency, including a rise in large-scale orders from major global retailers. The sales of the Flooid group, which was acquired in January 2024, also remained steady. In the Americas, profitability has been improved due to the internalization of the maintenance business and the integration efforts between consolidated subsidiaries. In the food and beverage industry, the Acrelec group sales, including self-service kiosks, were strong. In the domestic market, sales in the financial market decreased due to a rebound effect from the same period of the previous year, when hardware replacements and system modifications increased due to the new banknote issuance. In the retail and transportation market, sales increased due to the approach of the new banknote issuance. In the amusement market, sales of card systems for amusement machines remained at a high level, and sales of peripheral devices were also strong. As a result, net sales in this nine-months period totaled ¥280,033 million (up 7.8% year on year). Of this, net sales of merchandise and finished goods were ¥178,490 million (up 13.2% year on year), and net sales from maintenance services were ¥101,542 million (down 0.4% year on year). Operating income was ¥29,343 million (down 17.0% year on year), ordinary income was ¥22,460 million (down 33.4% year on year), and net income attributable to owners of parent was ¥12,577 million (down 39.8% year on year). Results of operations in each business segment are as follows. Financial market Sales of this segment’s main product, open teller systems, remained steady as large orders were delivered. However, sales of coin and banknote recyclers for tellers were sluggish. Sales from maintenance services decreased with the completion of system modifications associated with issuances of new banknotes. As a result, net sales in this segment were ¥42,535 million (down 23.5% year on year), and operating income was ¥7,745 million (down 59.3% year on year). Retail and transportation market Sales of our main product, coin and banknote recyclers for cashiers, remained at a high level, although they decreased compared to the same period of previous year due to the strong demand associated with the new banknote issuance. Sales of ticket vending machines were strong. Sales from maintenance services increased owing to the progression of system modifications associated with the issuance of new banknotes. As a result, net sales in this segment were ¥55,732 million (up 7.2% year on year), and operating income was ¥9,779 million (up 36.9% year on year). Amusement market Sales of this segment’s main products, card systems, were flat year on year. Sales of peripheral device, banknote changers, were strong. In addition, sales from maintenance services increased owing to the system modifications associated with the issuance of new banknotes. As a result, net sales in this segment were ¥23,173 million (up 9.2% year on year), and operating income was ¥7,653 million (up 2.1% year on year). Overseas market In the Americas, sales of the main products, teller cash recyclers for financial institutions (GLR-series), were sluggish, while sales of cash management solutions in the retail industry (CI-X-series) were strong. Net sales were ¥71,744 million (up 19.3% year on year). In Europe, sales of the main products, teller cash recyclers for financial institutions (GLR-series), were strong, as were sales of cash management solutions in the retail industry (CI-X-series). Net sales were ¥67,597 million (up 22.6% year on year).
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6 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) In Asia, sales of cash management solutions in the retail industry (CI-X Series) were steady. Net sales were ¥13,947 million (up 22.5% year on year). Net sales of the Acrelec group totaled ¥25,635 million (up 29.3% year on year). Net sales of the Flooid group were ¥9,212 million. As a result, net sales in this segment were ¥153,289 million (up 21.1% year on year), and operating income was ¥4,448 million (up 117.5% year on year). Outside the above business segments, net sales were ¥5,302 million (up 24.9% year on year), and operating loss was ¥283 million (vs. operating loss of ¥368 million in the corresponding period of the previous year). (2) Overview of Financial Position for the Period The following is the financial position at the end of the third quarter of the fiscal year under review: Total assets were ¥450,533 million, a decrease of ¥18,646 million compared with the end of the previous fiscal year. This is mainly the result of decreases of ¥15,747 million in notes and accounts receivable - trade, and contract assets, and ¥5,721 million in inventories. Liabilities were ¥213,537 million, a decrease of ¥26,990 million compared with the end of the previous fiscal year. This is mainly the result of an increase of ¥14,200 million in bonds payable, and decreases of ¥19,853 million in short-term borrowings, ¥8,281 million in provision for bonuses, and ¥7,946 million in income taxes payable. Total equity was ¥236,995 million, an increase of ¥8,344 million compared with the end of the previous fiscal year. This is mainly the result of increases of ¥4,802 million in retained earnings and ¥4,860 million in foreign currency translation adjustment. As a result, the ownership equity ratio became 52.4% compared with 48.5% at the end of the previous fiscal year. (3) Consolidated Financial Forecasts and Other Forward-looking Statements With regard to the future outlook, we expect that demand for self-service products and services addressing labor-saving and operational efficiency improvements will continue both in Japan and overseas. In overseas market, profitability is expected to improve due to sales expansion of main products and progress in the internalization of the maintenance business in the Americas. Accordingly, we have revised upward the consolidated financial forecast for the fiscal year ending March 31, 2025 to net sales of ¥370.0 billion, operating income of ¥32.0 billion, ordinary income of ¥24.5 billion, and net income attributable to owners of parent of ¥13.5 billion. The exchange rate assumptions for the revised financial forecasts are US$1 = ¥153 (¥145 before the revision) and €1= ¥160 (unchanged).
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7 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) 2. Quarterly Consolidated Financial Statements and Significant Notes Thereto (1) Quarterly Consolidated Balance Sheet (Millions of yen) As of March 31, 2024 As of December 31, 2024 Assets Current assets Cash and deposits 35,224 39,216 Notes and accounts receivable - trade, and contract assets 86,206 70,458 Electronically recorded monetary claims - operating 3,849 3,282 Merchandise and finished goods 59,355 53,758 Work in process 14,264 10,942 Raw materials and supplies 37,448 40,646 Other 8,958 11,584 Allowance for doubtful accounts (1,859) (1,734) Total current assets 243,447 228,154 Non-current assets Property, plant and equipment 46,182 46,033 Intangible assets Customer relationships 36,811 35,250 Goodwill 71,470 71,058 Other 14,248 13,373 Total intangible assets 122,530 119,682 Investments and other assets Investment securities 14,570 13,308 Other 44,551 45,455 Allowance for doubtful accounts (2,101) (2,101) Total investments and other assets 57,019 56,663 Total non-current assets 225,732 222,378 Total assets 469,179 450,533 Liabilities Current liabilities Notes and accounts payable - trade 17,678 15,893 Electronically recorded obligations - operating 9,862 7,144 Short-term borrowings 38,286 18,433 Current portion of long-term borrowings 5,672 4,751 Income taxes payable 11,011 3,064 Provision for bonuses 14,922 6,640 Provision for bonuses for directors (and other officers) 186 193 Provision for stock grant 464 412 Other 62,998 60,339 Total current liabilities 161,083 116,872 Non-current liabilities Bonds payable 10,000 24,200 Long-term borrowings 37,040 39,882 Provision for stock grant 315 322 Retirement benefit liability 1,820 1,822 Other 30,268 30,438 Total non-current liabilities 79,445 96,665 Total liabilities 240,528 213,537
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8 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) (Millions of yen) As of March 31, 2024 As of December 31, 2024 Equity Shareholders’ equity Share capital 12,892 12,892 Capital surplus － 150 Retained earnings 167,006 171,809 Treasury shares (8,097) (7,708) Total shareholders’ equity 171,801 177,143 Accumulated other comprehensive income Valuation difference on available-for-sale securities 2,758 2,551 Foreign currency translation adjustment 41,050 45,910 Remeasurements of defined benefit plans 12,170 10,506 Total accumulated other comprehensive income 55,978 58,968 Non-controlling interests 870 883 Total equity 228,651 236,995 Total liabilities and equity 469,179 450,533
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9 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) (2) Quarterly Consolidated Statements of Income and Comprehensive Income Quarterly Consolidated Statement of Income (Millions of yen) Nine months ended December 31, 2023 (From April 1, 2023 to December 31, 2023) Nine months ended December 31, 2024 (From April 1, 2024 to December 31, 2024) Net sales 259,706 280,033 Cost of sales 144,490 161,113 Gross profit 115,216 118,919 Selling, general and administrative expenses 79,880 89,576 Operating income 35,335 29,343 Non-operating income Interest income 238 110 Dividend income 187 204 Foreign exchange gains 162 － Other 411 532 Total non-operating income 999 847 Non-operating expenses Interest expenses 1,306 1,945 Foreign exchange losses － 4,637 Share of loss of entities accounted for using equity method 744 443 Expenses on system incident 441 － Other 94 703 Total non-operating expenses 2,585 7,729 Ordinary income 33,749 22,460 Extraordinary income Gain on sale of non-current assets 19 41 Gain on sale of investment securities 210 474 Gain on step acquisitions － 130 Total extraordinary income 229 645 Extraordinary losses Loss on sale of non-current assets 0 0 Loss on retirement of non-current assets 133 54 Loss on sale of investment securities 3 0 Loss on valuation of investment securities 74 － Impairment losses 1,478 － Loss on restructuring of business － 719 Total extraordinary losses 1,689 774 Income before income taxes 32,289 22,332 Income taxes 11,027 9,406 Net income 21,261 12,925 Net income attributable to non-controlling interests 354 348 Net income attributable to owners of parent 20,906 12,577
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10 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) Quarterly Consolidated Statement of Comprehensive Income (Millions of yen) Nine months ended December 31, 2023 (From April 1, 2023 to December 31, 2023) Nine months ended December 31, 2024 (From April 1, 2024 to December 31, 2024) Net income 21,261 12,925 Other comprehensive income Valuation difference on available-for-sale securities 580 (206) Foreign currency translation adjustment 8,034 4,869 Remeasurements of defined benefit plans, net of tax (800) (1,663) Share of other comprehensive income of entities accounted for using equity method 8 － Total other comprehensive income 7,821 2,999 Comprehensive income 29,083 15,925 Comprehensive income attributable to Owners of parent 28,350 15,567 Non-controlling interests 733 357
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11 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) (3) Notes to Quarterly Consolidated Financial Statements Significant Changes in the Scope of Consolidation During the Period (Significant changes in the scope of consolidation) GLORY AZ System Co., Ltd. and GLORY Mechatronics Ltd., which were formerly consolidated subsidiaries of the Company, were dissolved in an absorption merger with the Company’s surviving consolidated subsidiary GLORY System Create Ltd. in the first quarter ended June 30, 2024, and have therefore been excluded from the scope of consolidation. Following the merger, the surviving company, GLORY System Create Ltd., changed its name to GLORY Technical Solutions Ltd. Revolution Retail Systems, LLC, the Company’s consolidated subsidiaries in the US, and its two subsidiaries have been excluded from the scope of consolidation because they were dissolved in an absorption merger with Glory Global Solutions Inc. Acrelec Holding Middle East Ltd was liquidated in the first quarter ended June 30, 2024 and is therefore excluded from the scope of consolidation. In the third quarter of the fiscal year under review, additional shares of Showcase Gig Inc., which was an equity-method affiliate, were acquired, and is therefore included in the scope of consolidation. (Changes in matters concerning the fiscal year, etc. of consolidated subsidiaries) Previously, the closing date of Acrelec Group S.A.S. and 22 other consolidated subsidiaries was 31 December, and we used their financial statements as of that date and, if necessary, made adjustments for significant transactions that had occurred between that date and the consolidated closing date. However, in order to ensure more appropriate disclosure in the consolidated financial statements, we have changed the closing date of these subsidiaries to 31 March, effective from the first quarter ended June 30, 2024. As a result of this change in the end of a fiscal year, profit or loss for the period from January 1, 2024 to March 31, 2024 is adjusted as changes in retained earnings. Notes Regarding Changes in Accounting Policies (Application of “Accounting Standard for Current Income Taxes” and relevant ASBJ regulations) The Company has applied the “Accounting Standard for Current Income Taxes” (Accounting Standards Board of Japan (ASBJ) Statement No. 27, October 28, 2022; the “Revised Accounting Standard of 2022”) and other relevant ASBJ regulations from the beginning of the first quarter ended June 30, 2024. Revisions to the classification of income taxes (taxation on other comprehensive income) are in accordance with the transitional treatment prescribed in the proviso of paragraph 20-3 of the 2022 Revised Accounting Standard and the proviso of paragraph 65-2 (2) of the “Guidance on Accounting Standard for Tax Effect Accounting” (ASBJ Guidance No. 28, October 28, 2022; hereinafter referred to as the “Guidance on the 2022 Revised Accounting Standard”). These changes in accounting policies have no impact on the consolidated financial statements. In addition, the Company has adopted the Guidance on the 2022 Revised Accounting Standard related to the revision of the treatment in consolidated financial statements of the deferral for tax purposes of gain or loss on sale of shares of subsidiaries, etc. among consolidated companies, taking effect since the beginning of the first quarter ended June 30, 2024. These changes in accounting policies have been applied retrospectively, and the figures concerning the previous fiscal year’s quarterly consolidated financial statements and consolidated financial statements have been prepared on a retrospective basis. These changes in accounting policies have no impact on the previous fiscal year’s quarterly consolidated financial statements and consolidated financial statements. Notes Regarding Accounting Methods Specific to Preparation of the Quarterly Consolidated Financial Statements Tax expense is calculated by rationally estimating the effective tax rate after application of tax-effect accounting to income before income taxes for the fiscal year including the third quarter ended December 31, 2024, and then multiplying the income before income taxes for the period by the estimated effective tax rate.
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12 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) Notes Regarding Segment Information (a) Nine months ended December 31, 2023 (from April 1, 2023 to December 31, 2023) 1. Information on net sales, profit (loss) by reportable segment (Millions of yen) Reportable segments Other (Note: 1) Total Reconcilia- tion Amounts reported on the quarterly consolidated statement of income (Note: 2) Financial market Retail and transportation market Amusement market Overseas market Total Net sales (1) Sales to customers 55,620 52,007 21,214 126,617 255,460 4,245 259,706 － 259,706 (2) Intersegment sales or transfers － － － － － － － － － Total 55,620 52,007 21,214 126,617 255,460 4,245 259,706 － 259,706 Segment profit (loss) 19,021 7,143 7,493 2,045 35,703 (368) 35,335 － 35,335 Notes: 1. “Other” segment is merchandise and finished goods that is not included in the above reportable segments. 2. Segment profit (loss) corresponds to operating income of quarterly consolidated statement of income. 2. Information on impairment loss on non-current assets and goodwill by reportable segment (Significant impairment loss on non-current assets) The Company recorded impairment losses on non-current assets amounting to ¥596 million in the financial market, ¥512 million in the retail and transportation market, ¥72 million in the amusement market, ¥267 million in the overseas market, and ¥29 million outside these reportable segments. (b) Nine months ended December 31, 2024 (from April 1, 2024 to December 31, 2024) Information on net sales, profit (loss) by reportable segment (Millions of yen) Reportable segments Other (Note: 1) Total Reconcilia- tion Amounts reported on the quarterly consolidated statement of income (Note: 2) Financial market Retail and transportation market Amusement market Overseas market Total Net sales (1) Sales to customers 42,535 55,732 23,173 153,289 274,731 5,302 280,033 － 280,033 (2) Intersegment sales or transfers － － － － － － － － － Total 42,535 55,732 23,173 153,289 274,731 5,302 280,033 － 280,033 Segment profit (loss) 7,745 9,779 7,653 4,448 29,627 (283) 29,343 － 29,343 Notes: 1. “Other” segment is merchandise and finished goods that is not included in the above reportable segments. 2. Segment profit (loss) corresponds to operating income of quarterly consolidated statement of income.
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13 GLORY LTD. (6457) Consolidated Financial Results for the Third Quarter of Fiscal Year Ending March 31, 2025 (TRANSLATION FOR REFERENCE ONLY) Notes for Significant Change in the Amount of Shareholders’ Equity Not applicable. Notes Regarding Assumption of a Going Concern Not applicable. Notes Regarding Quarterly Consolidated Statement of Cash Flows A quarterly consolidated statement of cash flows has not been prepared for the nine months ended December 31, 2024. Depreciation and amortization (including amortization related to intangible assets excluding goodwill and to long-term prepaid expenses) and amortization of goodwill for the nine months ended December 31 are as follows. (Millions of yen) Nine months ended December 31, 2023 (from April 1, 2023 to December 31, 2023) Nine months ended December 31, 2024 (from April 1, 2024 to December 31, 2024) Depreciation 9,887 11,304 Amortization of goodwill 5,298 6,477